Gid'ay Brian, As the transfer clutch does engauge,eventually. I'd say the transfer valve is sticking, may not have had to work for a while. I'd give it a while to see if it frees up and fixes itself, as it works. If not it will have to be renewed.
The whine from the front could just be the differential gears, as one wheel may just spin faster that the other. If it is ok when driving normal, thats what it is, so don't worry about it, its normal.
Harvey.
